OXNARD, Calif., Aug. 25, 2025 (GLOBE NEWSWIRE) -- Mission Produce, Inc. (NASDAQ: AVO) (“Mission” or “the Company”) a world leader in sourcing, producing, and distributing fresh Hass avocados, today announced it will release its financial results for the fiscal third quarter ended July 31, 2025 after the market closes on Monday, September 8, 2025. The Company will host a conference call and webcast to discuss its financial results at 5:00 PM Eastern Time on the same day. Conference Call Details The conferenc ...

Core Viewpoint - Mission Produce, Inc. reported record fiscal second quarter revenue driven by the Marketing & Distribution segment, achieving a total revenue of $380.3 million, a 28% increase compared to the same period last year [4][6]. Financial Overview - Total revenue for the second quarter of fiscal 2025 increased by $82.7 million or 28% to $380.3 million compared to the same period last year [4]. - Net income for the second quarter was $3.1 million, or $0.04 per diluted share, down from $7.0 million, or $0.10 per diluted share, in the same period last year [6][7]. - Adjusted net income was $8.7 million, or $0.12 per diluted share, compared to $9.8 million, or $0.14 per diluted share, for the same period last year [8]. - Adjusted EBITDA for the second quarter was $19.1 million, a decrease of $1.1 million or 5% compared to $20.2 million in the prior year period [8]. Segment Performance - In the Marketing & Distribution segment, net sales increased by $75.4 million or 26% to $362.5 million, driven by higher avocado pricing [9]. - The International Farming segment saw total sales increase by $6.7 million or 479% to $8.1 million, with adjusted EBITDA rising to $1.5 million from a loss of $2.2 million in the same period last year [11]. - The Blueberries segment reported a 57% increase in net sales to $15.7 million, primarily due to higher volume driven by increased acreage and yields [12]. Operational Insights - The company executed $5.2 million in share repurchases during the quarter, reflecting a belief that the share price was undervalued [3]. - Cash and cash equivalents decreased to $36.7 million as of April 30, 2025, down from $58.0 million as of October 31, 2024 [14]. - Net cash used in operating activities was $13.0 million for the six months ended April 30, 2025, compared to cash provided by operating activities of $12.9 million for the same period last year [16]. Outlook - For the third quarter of fiscal year 2025, industry volumes are expected to be approximately 10-15% higher compared to the prior year, driven by a strong Peruvian harvest outlook [23]. - The company anticipates exportable avocado production from its owned farms in Peru to range between 100 million to 110 million pounds, significantly higher than the 43 million pounds in the 2024 harvest season [23]. - Total capital expenditures for fiscal 2025 are expected to remain in the range of $50 to $55 million [23].

Company Overview - Mission Produce, Inc (NASDAQ: AVO) is engaged in sourcing, producing, and distributing fresh avocados and other fruits, with operations in the United States and internationally [1] Business Model - The company operates a vertically integrated model, which allows it to provide healthy plant-based food options to consumers [1]

Q1 2025 Financial Highlights - Revenue reached $2.1 billion, a decrease of 1% year-over-year[10,33] - Adjusted EBITDA was $105 million, a decrease of 5% year-over-year[10,33] - Adjusted Diluted EPS was $0.35, a decrease of 18% year-over-year[10,33] - Revenue increased by 4% on a Like-For-Like (LFL) basis[10,14] Segment Performance - Fresh Fruit revenue increased by 6.5% year-over-year to $878 million, but Adjusted EBITDA decreased by 8.8% to $63.3 million[35,37,39] - Diversified Fresh Produce – EMEA revenue increased by 4.5% year-over-year to $892 million, with Adjusted EBITDA increasing by 6.6% to $27.7 million[35,44] - Diversified Fresh Produce – Americas & ROW revenue decreased by 23.8% year-over-year to $363 million, with Adjusted EBITDA decreasing by 5.9% to $13.8 million[35,49] Capital Allocation and Outlook - Free Cash Flow from Continuing Operations was $(52.8) million[53] - Net Debt stood at $(742) million, with Net Leverage at 1.9x[54] - The company expects Adjusted EBITDA from Continuing Operations to be at least $380 million for FY'25[60]

Financial Data and Key Metrics Changes - Net sales for Q1 2025 were $1.098 billion, down from $1.108 billion in the prior year, primarily due to lower sales in the banana segment and negative exchange rate fluctuations, partially offset by higher sales in fresh and value-added products [15] - Gross profit increased to $92 million from $82 million year-over-year, driven by higher sales in fresh and value-added segments, despite increased production and distribution costs [15][16] - Gross margin improved to 8.4% from 7.4% in the prior year, reflecting a sequential increase from 6.8% in Q4 2024 [16] - Net income attributable to Fresh Del Monte was $31 million, compared to $26 million in the prior year, with diluted EPS rising to $0.64 from $0.55 [18] Business Line Data and Key Metrics Changes - Fresh and value-added products segment net sales were $683 million, up from $677 million, driven by higher selling prices in avocados and fresh cut fruits [19] - Banana segment net sales decreased to $364 million from $380 million, impacted by lower sales volume and prices in Asia and North America [21] - Other products and services segment net sales remained stable at $51 million, with gross profit increasing to $6 million from $5 million due to higher selling prices in poultry and meats [22] Market Data and Key Metrics Changes - Strong consumer interest in avocados and fresh cut fruits continues, with these categories central to the company's long-term growth strategy [8] - Pineapples are experiencing demand exceeding supply, indicating strong market positioning [7][8] Company Strategy and Development Direction - The company aims to lead in fresh and value-added products, focusing on quality, innovation, and sustainability [12] - Strategic acquisition of a majority stake in Abolio, a leading avocado oil producer in Uganda, aims to reduce waste and enhance value in a high-margin category [11] - The company is committed to operational efficiency and leveraging its vertically integrated supply chain to navigate global shipping disruptions [9][10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in continued solid demand for fresh produce, despite consumer pressures [34] - The company is closely monitoring tariff impacts and is working collaboratively with buyers to mitigate negative effects [38] - Expectations for full-year 2025 include a 2% growth in net sales and targeted gross margins across segments [28][29] Other Important Information - The company declared a quarterly cash dividend of $0.30 per share, representing a 3.5% yield based on current share price [25] - Long-term debt decreased by 5% from the previous fiscal year-end, reflecting improved financial health [25] Q&A Session Summary Question: Demand in the produce category - Management noted continuous solid demand in fresh produce, with no expected reductions in consumption [34] Question: Logistic issues in the industry - Management indicated that smaller operators are at a disadvantage due to logistical disruptions, while the company remains agile and capable of fulfilling customer demands [36][37] Question: Impact of tariffs on pricing - Management is working with buyers to mitigate tariff impacts without negatively affecting consumers [38] Question: Performance of avocado segment - The avocado segment is performing well, with diversification in sourcing contributing to growth [40] Question: Fresh cut fruit margins - Management believes fresh cut fruit operations are strengthening, with increased efficiency leading to stable margins [44] Question: Pineapple supply and demand - Management highlighted that increasing consumption is driving demand for pineapples, which are still competitively priced compared to other fruits [46][47]

Core Viewpoint - Hong Jiu Fruit, known as the "first fruit stock," is facing significant turmoil as its executives have been subjected to criminal measures related to loan fraud and tax invoice issues, leading to operational disruptions and potential financial irregularities [1][2][6]. Group 1: Executive Actions and Company Operations - The chairman and several directors of Hong Jiu Fruit have been taken under different criminal measures due to investigations by the Chongqing Public Security Bureau regarding loan fraud and/or the issuance of false VAT invoices [1][2]. - The company's main office in Chongqing has been restricted by law enforcement, hindering normal operations since January 6, 2025 [2]. - Hong Jiu Fruit has not published its financial reports for 2023, the first half of 2024, and 2024, indicating a lack of transparency and potential financial distress [1][8]. Group 2: Financial Performance and Irregularities - Hong Jiu Fruit's revenue grew from 2.078 billion in 2019 to 10.28 billion in 2021, with profits increasing from 163 million to 292 million during the same period [3]. - The company reported a revenue of 15.081 billion in 2022, a 46.7% increase year-on-year, and a profit of 1.455 billion, up 397.38% [3]. - For the first half of 2023, the company reported revenue of 8.538 billion, a 19.37% increase, but profits declined by 6.51% to 803 million [4]. Group 3: Concerns Over Financial Practices - The auditors raised concerns about the company's financial practices, noting that a significant portion of the suppliers were newly added in 2023 and lacked historical transaction records, suggesting potential fabrication of suppliers and documents [6][7]. - As of December 31, 2023, the company had a prepaid balance of approximately 4.47 billion, with 3.42 billion paid to suppliers in the fourth quarter alone [6]. - The company explained that prepayments are standard in the fresh fruit industry to ensure stable supply, but the significant increase in prepayments raises questions about the legitimacy of these transactions [7].